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Let sign(s,x) be the digital signature function that uses the private key s, and verify(p,x) be its easy-to-calculate inverse that uses public key p, so verify(p,sign(s,x))=x. The united states does not regulate domestic sale ofencryption software but tightly restricts its export. Retail on-line buying will be in the billions of dollars in 1998. If a client seeks a credit card, he or she will expect the card issuer to undertake a numberof checks before they decide whether they will provide a card.

Usefully, a digitalsignature also tells us that the document has not been changed since the signature wasmade (the way digital signatures work provides this confidence).

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The consumer's credit information is sent to a transaction server that can accept a variety of electronic payments, just as a physical store can accept credit- or debit-card information. · A system of voluntary accreditation for electronic notaries should be established. Congress tookthe first small step in 1998 by directing the federal government to develop a strategy foraccepting electronic signatures.



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The specific underlying technology used toachieve this is irrelevant. Transaction serverthe transaction server handles credit- and debit-card transactions (using secure electronic standards technology) on behalf of the merchant and the end customer. An entity that served as both a verifier and a notary (like a typical credit card company) would therefore know that a given customer is processing transactions, violating privacy objectives. There are no on-line transactions, but there is e-mail capability.

This is done in person to simplify verification. Although not an absoluterequirement, it is also highly desirable that there are no royalties or licence fees involvedin its use. Hosted electronic-commerce services: A service provider's perspectivethe benefits to the service provider of hosting electronic-commerce services include the following: Hosting revenue for providing connectivity to electronic-commerce services enablement revenue for helping clients develop electronic-commerce offerings (web sites, catalogs, storefronts) for the customer's hosted offering advertising revenue for aggregating traffic within hosted offerings transaction revenue for enabling on-line commerce the value to a merchant (the service provider's customer) of an electronic commerce–hosting service is that it enables the merchant to focus on its core business processes, leaving the service provider to manage the internet access, network management, network security, quality of service, and server management. However, when an information product (like software or digitizedmusic) is transmitted over the network, there is no mailing address.

Their service is useful, but does not meet the requirements described in this paper.

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